Lucara reports strong first quarter

By Staff Writer / May 13, 2019 / www.idexonline.com / Article Link

Junior miner Lucara Diamond Corp reported its results for the quarter ended March 31, 2019. The company said that with respect to all mining and processing activities it recorded the best quarter in the Karowe mine's history. It recovered 132,336 carats, achieving a recovered grade of 15.9 carats per hundred tons processed.

Among these were a 240-carat top white gem and a 223-carat high white gem. Karowe produced 170 specials during the first quarter, representing 4.1 percent. Seven diamonds were greater than 100 carats in weigh. In April 2019, the largest diamond mined at Karowe was an unbroken 1,758 carat near gem quality diamond.

Lucara's net income for the three months ended March 31, 2019 was $7.4 million, compared to a net loss of $7 million in the first quarter of 2018

As at March 31, 2019, the company had cash and cash equivalents of $17.9 million. The funds drawn on the credit facility were repaid in full during Q1 2019, leaving the $50 million facility fully available at March 31, 2019. The company accrued a quarterly dividend of CA$0.025 per share on the record date of March 22, 2019 and paid the dividend on April 11, 2019

Eira Thomas, President and CEO commented: "Lucara's focus on operational excellence has delivered another strong quarter, having met or exceeded guidance with respect to ore mined and processed as well as carats produced. Costs were significantly down quarter over quarter and the first sale of the year delivered revenues in excess of US$47 million, in line with expectations. In April, Lucara's technologically advanced, XRT diamond recovery circuit delivered one of the largest diamonds in recorded history, the largest diamond recovered in Botswana, and the largest diamond to be mined at Karowe to date. The unbroken 1,758 carat diamond is a testament to the remarkable nature of the Karowe resource and the strong operating environment prevailing at the mine."

 

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